1. PRODUCT MANAGEMENT

4. What is Product Management? Product Management is the process of designing, building, operating and maintaining a good or service Product management ensure that production not just manufacturing product but creating a product that people will want to buy and continue to use

5. Cont’d Production is a heart of product but product management ensures that costumer’s voice not rush Product management adds thing like marketing and customer support to create complete product

6. Product Management is performed by multi-disciplinary team whose goal is building, operating and maintaining product Team members may include product managers, software developers, designer, engineer, financial analyst, marketer etc

8. Product Manager’s Responsibility Defining and planning product lines and product enhancements Managing product contract and sales Setting strategic direction based on customer needs and business goal Interpreting strategic goal into operational tasks Evaluating risks and trade off

9. Cont’d Proposing contingency plans Analyzing business process and creating applications to improve or support those process Branding Working with designer to create look and feel YOU can add the rest by yourselves

10. What is new product? New to the world products New category entries Additions to product lines Product improvements Repositioning

11. Design must reflect the practical and aesthetic in business but above all... Good design must primarily serve the people (Thomas J. Watson)

12. 3 Steps to Success Understand the consumers Know what they want Give it to them What do you think with these products?

13. Understand the Customers Respecting them Putting yourself in their shoes

14. Know What They Want What is important to them? What motivates them? What are their hopes? What are their fears? What are their dreams? What are their aspirations?

15. Basic Ideas or Concepts The complexity of operations and decisions. Product innovation must be pushed. The conflicting masters of new products management: Value : Quality, Time, Cost

17. Career tips: Be multifunctional, not functionally parochial Be risk takers. Think comprehensive Be a combination of optimist and realist Develop your creative skill both for new product concept and for new ways of doing things Be comfortable in chaos and confusion

18. The New Product Process

20. The Facts… 50 – 80 % of new products fail (the greater the rate of new product development, the higher the failure rate ) Although there are numerous reasons why new products fail, faulty management and planning are at the core of most failures. Therefore, managing the new product development process is a key to a healthy organization.

22. The Process 1.Opportunity Identification and Selection 2.Concept Generation 3.Concept/Project Evaluation 4.Development 5.Launch

23. Basic New Products Process Phase 1: Opportunity Identification and Selection. Identify the opportunity as a part of business operation, see the opportunity of new product, sensitive to the marketplace, research, evaluate, and grading the opportunity.

24. Phase 2: Concept Making This phase is started with selecting opportunity which has highest potentiality by involving customer. Collecting the new concept and find opportunity to get the best new product.

25. Phase 3: Project / Concept Evaluation Evaluate the concept of new product from technical, marketing, and financial aspect.

26. Phase 4: Development A.Technical Support Making prototype design, test, and validity. Start production & market testing. B. Marketing Support Prepare strategies, tactics, and launch marketing plan. Prepare business plan and product augmentation (packaging, brand, etc)

27. Phase 5: Launch Commercialize plan and prototype from development phase, start to distribute and sell new product, manage to launch product to get the objectives that have been agreed in final business plan.

29. The Concept Life Cycle Started from opportunity (the real start) to the profit (the real finish).

30. The History 1.Product-oriented or technology- pushed stage 2.The emergence of the market as the driver of innovation 3.Product Life-Cycle

32. Product Life Cycle All products has its time Profit fluctuates based on product life cycle Each stage need different strategies in each functions (marketing, financial, operational and human resources)

33. To Improve Product Life Cycle 1.Increase product using time by offering many benefits 2.Offering alternatively other function of product 3.Modify existing product in term of product content, packaging, volume, benefit etc 4.Targeting new customer

34. Fail in new market? Research from Deloitte & Touche has shown that 95% of new products have failed in new market. For example: Tara Nasiku Other example?

36. Way to new product process Kategori produk existing new B R existing A N new D Line extensionBrand extension MultibrandNew brand

37. Strategies 1.Line extension: - Pantene shampoo: sachet - Nescafe: non cafein, espresso - Coke: cherry coke, diet coke 2. Brand extension: - Nuvo soap  hand sanitizer - Cadburry chocolate  ice cream - Pepsodent toothpaste  candy

38. Strategies 3. Multibrand: - Toyota corolla: brand Lexus - Qantas airlines: Jetstar (economy class) 4. New Brand: - Coca cola: Frestea - Bintang tujuh: Extra Joss